New parking meters coming to downtown Phoenix

Machines will accept credit, debit cards

Drivers will soon be able to use credit and debit cards at parking meters in downtown Phoenix and central city locations.

Phoenix officials hope to negotiate contracts with San Diego-based IPS Group and New Jersey-based Parkeon to buy meters that accept plastic.

"It's time for a change," said Rick Naimark, Phoenix's deputy city manager. "It's time to move into the next wave of technology."

The city plans to spend up to $500,000 implementing the project's first phase, which will include 400 to 500 parking metered spaces. The hope is to install the meters by mid-January. The city has not completed revenue projections, said Thomas Godbee, deputy street transportation director.

The city began the procurement process for new parking meters in June. City officials presented the results at the Downtown, Aviation, Economy and Education Subcommittee meeting last week.

The move to plastic-friendly meters developed over time based on available funding and customer, property owner and City Council input, Godbee said. The city will pay for the project through general obligation bonds and Arizona Highway User Revenue funds.

Phoenix would join Washington, D.C,Los Angeles, San Francisco, Boston, Honolulu and other cities that have implemented the new systems.

"Parking-meter technologies have improved over the past few years. Phoenix, like most cities, is looking to upgrade its meter inventory to give customers more payment options," Godbee said. "The city completed a field trial of credit-card parking meters a few years ago and was very satisfied with the results."

Locations

When finished, the city hopes to bring 2,400 meters to Phoenix that will take credit/debit cards. Meters will initially go up at Arizona State University's downtown Phoenix campus, Phoenix City Hall,CityScape Phoenix, T-Gen and the Maricopa County complex.

Single-space credit-card meters will cost the city $500 to $600 per meter. Pay stations covering multiple spaces will cost $6,000 to $11,500 per meter.

The city hopes to add meters for 400 spaces in downtown, with at least 50 of them between Second and Fifth streets and Van Buren and Fillmore streets. Workers will install the remaining between Third Avenue and Second Street and Van Buren and Madison streets.

Meters for 40 spaces will go up in uptown Phoenix along Central Avenue between McDowell and Indian School roads. Workers will put meters for 11 spaces at Phoenix College on 11th Avenue between Thomas Road and Earl Drive.

Locations for the second phase will be on the periphery of downtown Phoenix.

The City Council is expected to approve contracts on Oct. 17. The city will then order the meters, execute a marketing plan to install the meters before mid-January.

The Downtown Phoenix Partnership, a tax-funded non-profit focused on downtown's development, will coordinate marketing for the new stations.

The meters

Single-space meters will make up 80 percent of the new meters, and IPS Group will provide them. Parkeon will provide the multiple-space meters.

The city's street transportation department selected IPS Group and Parkeon after issuing a request for proposals to four vendors.

The single units have large display screens with LED lights. Because IPS meters fit in existing meter housing, it will reduce replacement costs. The meters also will still accept coins.

Parkeon will provide meters integrated with solar panels that can withstand extreme temperatures, according to the city. These meters will cover at least seven spaces.

Competition

Making on-street parking card-friendly could create some competition for the parking garages that are now the only option for those paying with cards. But some in the parking-space business aren't discouraged.

"We support the city in this change," said Jeff Moloznik, general manager of CityScape Phoenix. "Convenience and ease of parking for people coming to downtown is more important than parking revenue. Now that downtown has been reborn, what better way to invite people to shop and dine in downtown?"

Parking meters charge $1.50 per hour.

Downtown Phoenix Partnership said some downtown businesses support new card-operated meters because they could increase the flow of customers.

A recent parking study found card-operated meters would improve parking turnover. Card-paying drivers are more likely to leave before their meters expire, freeing the spots for other customers.

However, one Phoenix parking operator said giving drivers a card option could bring new costs to the city because the city will have to pay fees.

"It's going to be a financial loss to the city," said Leon Woodward, owner of U.S. Parking Systems, operator of six surface lots in downtown Phoenix.

Card-friendly meters aren't necessarily a threat to lot and garage owners, Woodward said, but a recent decision to allow people to park for free at meters on Saturdays is.